Homeowners are set to be spared a hike until 2021 after cabinet were told that one in five would face a steep increase. The Minister for Finance Paschal Donohoe has confirmed that an increase in Local Property Tax will be deferred for another year.
Homeowners who do not currently pay local property tax may have to in the future under new plans due to be considered by government next year. Under the current rules, homes that were bought in 2013 do not have to pay LPT.
Properties purchased in 2013 are exempt until the end of 2019, as are properties that were self-built in that year. Also Under the current rules, homes that were bought in 2013 do not have to pay LPT.
Properties purchased in 2013 are exempt until the end of 2019, as are properties that were self-built in that year.
I like everyone else was of the understanding that the property tax ensured by the government, that all of the money you pay goes to your local authority.
The Local Property Tax was in fact first introduced as a means of funding our local services.
Homeowners and residents were all assured by the government and their officials that there would be a positive increase in services and that this tax would be a direct fund for areas requiring footpath repairs, maintenance of roads, and many other repairs required throughout the constituencies.
But in fact what has happened is the current funding to local authorities was reduced by that amount collected by revenue, in reality the Local Property Tax has been compromised from the very start.
Currently, property tax is based on the market value of a house, but due to the rapid increase in house prices, there have been concerns about the massive leap in tax homeowners will have to pay.
We have been promised complete new reviews of the tax system by government, residents and their entire communities need to know what new upcoming bills they are going to be facing in the near future. TDs in all parties were concerned about the hefty increases that could be imposed on householders as a result of a review of the tax, particularly due to the fact that any increase in the property tax will coincide with the local elections, meaning it will be an issue on the campaign trail for councillors around the country that they want to avoid at all costs. This is why it has been deferred temporarily, but people need answers and they need them now.
Should the Local Property Tax be abolished / scrapped?